The story behind the scenes
SAFPU calls Swallows out
SAFPU’s deputy secretary general, Calvin Motloung, confirms cases of unpaid salaries against Swallows.
“We have had cases against Swallows for a few players, and some of them are Thabo Mosadi, Khethukuthula Ndlovu and Mphakamiseni Nene. We have had several cases against the club from last season already and they were for unpaid salaries and salaries that were paid in short.
“But how are we going to trust Swallows when they are defaulting like this and are owing a lot of players? We cannot. If they want to settle out of court, they must just pay all the money that is due to the player.
“It is not that we are against Swallows, they are not being transparent. They are taking advantage of these players. People will end up saying that this Union hates the clubs. We don’t hate the clubs, or we wouldn’t be giving them so many chances and being so patient with them. Now they are banned from registering players, isn’t that so?”
Swallows lash out at SAFPU!
Swallows CEO Sipho Xulu lashed out at SAFPU for speaking out about the alleged monies owed to players by the club.
In a recent interview, Xulu told Soccer Laduma’s sister publication KickOff, “I don’t believe such issues should be discussed in the media, SAFPU knows exactly where the Swallows offices are if there are issues to discuss. I thought the main aim of SAFPU was to resolve problems and not to expose other institutions.”
Meanwhile, Xulu acknowledged the FIFA ban prohibiting the club from signing new players for the next two years. Speaking to KickOff recently, he said, “Yes, it’s true, but all I can say now is our legal department is still looking into this judgment. So, we will only be able to talk once we know what their advice on the matter is. At the moment, we can’t say anything. We are waiting on our legal advice, so we can’t comment now.”
Legal expert fearing the worst
A specialist in sports and entertainment law, Kabelo Mashigo, is fearing for the worst in Swallows’ compounding financial troubles.
“My advice on what club owners should do when they can’t afford to keep up is that they should sell. Club owners should do their homework and look at how much it will cost them to run a club on a month-to-month basis. How much will you be getting from the League for preparation, as well as your monthly grant? You then look at how much you as the club owner will need to still add on top of that. Does a club have a sponsor or not for additional income? But it is not guaranteed that you will be getting a sponsor.
“If you are able to run a PSL (topflight) club successfully at the current grant amount of R2.5 million, that is perfectly good. But it is unlikely that such is possible to happen, and you will still need to get a sponsor to assist you to keep the club afloat. The other problem that the owners of clubs get into is the historic debt that they need to cover. Let’s say you are in a situation where you started with 25 players that have been signed on two- and three-year contracts, and after the first season you want to let go of some of them to bring in a fresh group. Those players would still be having running contracts and would still need to be paid out. You would find yourself paying more players than what you have on your books, and it is such things that are probably the causes of problems at most clubs.”